The Economic Impact of Tourism on Calderdale 2017

Prepared by: Tourism South East Research Unit 40 Chamberlayne Road Eastleigh Hampshire SO50 5JH

## CONTENTS

| Section | Page | |----------------------------------------------|------| | Introduction | 1 | | National and regional results | 1 | | Volume and value of trips to Calderdale | 3 | | Overnight trips by accommodation | 5 | | Overnight trips by purpose | 7 | | Tourism day trips | 8 | | Value of tourism | 9 | | Employment | 10 | | Key results for 2017 | 11 | | Methodology | 12 | | Glossary of terms | 13 | Introduction

This report, commissioned by Calderdale Council and undertaken by Tourism South East, examines the volume and value of tourism and the impact of visitor expenditure on the local economy in 2017 and provides comparative data against previously published data from 2016.

The study involved the application of the Cambridge Tourism Economic Impact Model or ‘Cambridge Model’; a computer-based model developed by Geoff Broom Associates and the Regional Tourist Boards of England. In its basic form, the model distributes regional activity as measured in national surveys to local areas using ‘drivers’ such as accommodation stock and occupancy which influence the distribution of tourism at local level.

IMPORTANT - The methodology used to collect data for domestic day visits in 2016 has changed from the methodology used in previous years. This means that data was not able to be directly compared between 2016 and previous years for both number of visits and spend. Direct comparisons can be made in this year using 2016 data as baseline measures.

National and regional results

| Trips by domestic overnight visitors | Yorkshire and The Humber | England | % change | Yorkshire and The Humber | England | % change | |-------------------------------------|--------------------------|---------|----------|--------------------------|---------|----------| | Trips | 2017: 10,693,000 | 2016: 9,385,000 | 14% | 2017: 100,600,000 | 2016: 99,300,000 | 1% | | Nights | 2017: 29,028,000 | 2016: 27,008,000 | 7% | 2017: 299,400,000 | 2016: 288,000,000 | 4% | | Spend | 2017: £1,737m | 2016: £1,611m | 8% | 2017: £19,049m | 2016: £18,500m | 3% |

| Trips by overseas overnight visitors | Yorkshire and The Humber | England | % change | Yorkshire and The Humber | England | % change | |-------------------------------------|--------------------------|---------|----------|--------------------------|---------|----------| | Trips | 2017: 1,340,000 | 2016: 1,410,000 | -2% | 2017: 34,300,000 | 2016: 32,970,000 | 4% | | Nights | 2017: 11,470,000 | 2016: 11,480,000 | 0% | 2017: 253,130,000 | 2016: 245,700,000 | 3% | | Spend | 2017: £567m | 2016: £516m | 10% | 2017: £21,380m | 2016: £19,690m | 8% |

| Trips by day visitors | Yorkshire and The Humber | England | % change | Yorkshire and The Humber | England | % change | |-------------------------------------|--------------------------|---------|----------|--------------------------|---------|----------| | Trips | 2017: 149,000,000 | 2016: 149,000,000 | 0% | 2017: 1,505,000,000 | 2016: 1,557,000,000 | -3% | | Spend | 2017: £5,023m | 2016: £4,370m | 15% | 2017: £50,899m | 2016: £53,534m | -5% |

| Total trips | Yorkshire and The Humber | England | % change | Yorkshire and The Humber | England | % change | |-------------------------------------|--------------------------|---------|----------|--------------------------|---------|----------| | Trips | 2017: 161,033,000 | 2016: 159,795,000 | 1% | 2017: 1,639,900,000 | 2016: 1,689,270,000 | -3% | | Spend | 2017: £7,327m | 2016: £6,497m | 13% | 2017: £91,308m | 2016: £91,724m | 0% |

- Results from GBTS reveal that 100.6 million domestic overnight trips were taken in England in 2017, an increase of 1% compared with 2016. The value of domestic overnight trips increased by 3%, from £18.5 million in 2016 to £19.1 million in 2017.

- Across the region of Yorkshire and the Humber, the volume of domestic overnight trips increased significantly by 14% (from 9.4m to 10.7m) and trip spend increased by 8% compared to 2016 (from £1.6m to £1.7m). According to results from IPS, overseas visitors made a total of 34.3 million overnight trips in England, an increase of 4% compared with 2016. Trip expenditure increased by a significant 8% at the national level.

Overseas visitor trip volume was slightly down for the region compared with 2016; total overnight trips taken by visitors from overseas to Yorkshire and the Humber decreased by 2% (from 1.4m to 1.3m). However, the overall expenditure associated with trips by overseas visitors to the region rose by 10% according to the national survey.

Figures published in the Great Britain Day Visits Survey (2017) indicate that there were 1.5 billion tourism day visits undertaken in England during 2017 (down 3% compared to 2016). Spend per head in day trip expenditure also decreased by 5% at a national level.

Due to the change in methodology, Visit Britain has reweighted the 2016 tourism day visits data. According to the national survey, there was no change in the number of tourism day trips to the region when compared with 2016, when, however there was a significant increase in tourism day visit spend of 15% at regional level.

In total, 161 million trips were made to the region in 2017, up 1% from 160 million trips in 2016. Volume and value of trips to Calderdale

- It is estimated that around 0.3 million overnight tourism trips were made to Calderdale in 2017, equivalent to that of 2016. Of these trips, domestic visitors made 82% of trips (271,000) and overseas visitors made up 18% of trips (58,800). Compared to 2016, the volume of domestic overnight trips decreased by 4% and the volume of inbound overnight trips rose by 13%, resulting in a marginal net change.

- The total number of nights spent in Calderdale by domestic visitors in 2017 fell from 0.67 million bednights to 0.66 million bednights (a decrease of 1% compared to 2016) and there was no change in the trip length of overseas visitors where the number of nights spent in Calderdale remained at 0.37 million bednights. This gave an overall decrease in the number of nights spent in Calderdale of 1%.

- In total, it is estimated that around £68.7 million was spent by all overnight visitors on their trip to Calderdale in 2017, a rise of 6%. Domestic visitor expenditure decreased by 1% and overseas visitor expenditure increased by 20%, resulting in a net increase of 6%.

- It is estimated that around 6.4 million tourism day trips were made to Calderdale in 2017, a rise of 2% compared to 2016. As a result day expenditure increased by 5%.

- In total, around £266.4 million was spent on trips to Calderdale in 2017 by overnight and day visitors, up by 5% compared to 2016. Sixteen percent of this expenditure was made by domestic staying visitor; 10% by overseas staying visitors and 74% by day visitors.

- Around £253.8 million directly benefited local businesses from hotels and restaurants to cafes, shops and attractions in Calderdale. Adjustments have been made to recognise that some spending on travel will take place outside the destination. It is assumed that 40% of travel spend will take place at the origin of the trip rather than at the destination. Also some expenditure on retail and food and drink will fall within the attractions sector and accommodation sector.

- However, further ‘additional expenditure’ spent by visitors on second homes / boats and by friends and relatives, whom visitors are staying with or visiting, needs also to be accounted for as this represents a significant additional source of income for local businesses. It is estimated that this ‘additional’ expenditure generated a further £13.3 million in direct turnover for local businesses in 2017.

- In addition to the business turnover generated in those businesses directly receiving visitor income, successive rounds of expenditure, that is spending by these businesses on local supplies (indirect impacts) and spending by employers in the local area (induced impacts), is estimated to have generated £267.1 million to the local economy (the multiplier impact).

- Drawing together direct business turnover, supplier and income induced expenditure, and the additional expenditure spent on second homes and by friends and relatives, the total value of tourism activity in Calderdale in 2017 is estimated to have been around £344.1 million, up by 5% compared to 2016.

- This income to the local economy is estimated to have supported 4,990 Full-Time Equivalent Jobs. Many of these jobs are part-time or seasonal in nature and translate into an estimated 6,884 Actual Jobs, an increase of 8% compared to 2016. These jobs are spread across a wide range of service sectors from catering and retail to public service jobs such as in local government, and not just tourism. According to the Office of National Statistics, there are 96,000 employee jobs across Calderdale. Based on our estimates, total tourism related expenditure supported 7.2% of these jobs in 2017, an increase of 1% on 2016. The Volume and Value of Tourism, 2017

Overnight trips by accommodation

Number of staying trips by accommodation stayed at

| | UK | % | Overseas | % | Total | % | |----------------------|------|-----|----------|-----|-------|-----| | Serviced | 141,000 | 52% | 32,700 | 56% | 173,700 | 53% | | Non-Serviced | 12,000 | 4% | 5,600 | 10% | 17,600 | 5% | | Group / campus | 4,000 | 1% | 1,300 | 2% | 5,300 | 2% | | Second homes | 7,000 | 3% | 1,000 | 2% | 8,000 | 2% | | Boat moorings(^1) | 3,000 | 1% | 0 | 0% | 3,000 | 1% | | Paying guests | 0 | 0% | 200 | 0% | 200 | 0% | | Other/mixed(^2) | 5,000 | 2% | 0 | 0% | 5,000 | 2% | | SFR | 101,000 | 37% | 17,900 | 30% | 118,900 | 36% | | **Total 2017** | 271,000 | 58% | 56,800 | 32% | 329,800 | 32% | | **Total 2016** | 281,000 | 52% | 52,100 | 13% | 331,100 | 0% | | % change | -4% | | 13% | | 0% | |

SFR = staying with friends/relatives

(^1) Information on boat use is not available for overseas tourists.

(^2) Trips which involve staying in more than one type of accommodation over the duration of the trip. For overseas trips these also include nights spent in transit, in lorry cabs and other temporary accommodation.

Overnight trips by type of accommodation

Number of nights by accommodation stayed at

| | UK | % | Overseas | % | Total | % | |----------------------|------|-----|----------|-----|-------|-----| | Serviced | 254,000 | 38% | 77,000 | 21% | 331,000 | 32% | | Non-Serviced | 91,000 | 14% | 74,000 | 20% | 165,000 | 16% | | Group / campus | 7,000 | 1% | 7,000 | 2% | 14,000 | 1% | | Second homes | 16,000 | 2% | 26,000 | 7% | 42,000 | 4% | | Boat moorings | 16,000 | 2% | 0 | 0% | 16,000 | 2% | | Paying guests | 0 | 0% | 0 | 0% | 0 | 0% | | Other | 12,000 | 2% | 0 | 0% | 12,000 | 1% | | SFR | 263,000 | 40% | 185,000 | 50% | 448,000 | 44% | | **Total 2017** | 660,000 | 62% | 368,000 | 50% | 1,028,000 | 44% | | **Total 2016** | 665,000 | 62% | 369,000 | 50% | 1,034,000 | 44% | | % change | -1% | | 0% | | -1% | |

Staying nights by type of accommodation

Staying nights 2016 v 2017

### Spend by accommodation stayed at

| Type of Accommodation | UK | % | Overseas | % | Total | % | |-----------------------|----------|-----|----------|-----|-----------|-----| | Serviced | £31,845,000 | 73% | £12,841,000 | 51% | £44,686,000 | 65% | | Non-Serviced | £1,396,000 | 3% | £5,641,000 | 23% | £7,037,000 | 10% | | Group / campus | £329,000 | 1% | £0 | 0% | £329,000 | 0% | | Second homes | £685,000 | 2% | £209,000 | 1% | £894,000 | 1% | | Boat moorings | £627,000 | 1% | £0 | 0% | £627,000 | 1% | | Paying guests | £0 | 0% | £0 | 0% | £0 | 0% | | Other | £775,000 | 2% | £0 | 0% | £775,000 | 1% | | SFR | £7,969,000 | 18% | £6,368,000 | 25% | £14,337,000 | 21% | | **Total 2017** | **£43,625,000** | **18%** | **£25,059,000** | **25%** | **£68,684,000** | **21%** | | **Total 2016** | **£44,170,000** | **18%** | **£20,869,000** | **25%** | **£65,039,000** | **21%** | | % change | -1% | | 20% | | 6% | |

#### Overnight spend by type of accommodation

- Paid accommodation: 78%
- Friends/relatives /second homes: 22%

#### Overnight spend 2016 v 2017

- UK
- Overseas
- Total Overnight trips by purpose

| Purpose | UK | Overseas | Total | |--------------------------------|--------|----------|-------| | Holiday | 134,000| 27,000 | 161,000| | Business | 82,000 | 12,000 | 94,000 | | Visits to friends/relatives | 48,000 | 16,900 | 64,900 | | Other | 7,000 | 2,300 | 9,300 | | Study | 0 | 500 | 500 | | **Total** | 271,000| 58,800 | 329,800|

Nights by purpose

| Purpose | UK | Overseas | Total | |--------------------------------|--------|----------|-------| | Holiday | 346,000| 136,000 | 482,000| | Business | 167,000| 27,000 | 194,000| | Visits to friends/relatives | 136,000| 174,000 | 310,000| | Other | 12,000 | 14,000 | 26,000 | | Study | 0 | 19,000 | 19,000 | | **Total** | 660,000| 368,000 | 1,028,000|

Spend by purpose

| Purpose | UK | Overseas | Total | |--------------------------------|--------|----------|-------| | Holiday | £18,558,000 | £11,464,000 | £30,022,000 | | Business | £14,655,000 | £4,342,000 | £18,997,000 | | Visits to friends/relatives | £7,696,000 | £6,590,000 | £14,286,000 | | Other | £2,716,000 | £1,082,000 | £3,798,000 | | Study | £0 | £1,580,000 | £1,580,000 | | **Total** | £43,625,000| £25,059,000| £68,684,000| Tourism day trips

Tourism Day trips and spend

| | Trips | Spend | |---------------|---------|-------------| | Total 2017 | 6,437,000 | £197,759,000 | | Total 2016 | 6,298,000 | £187,699,000 | | % change | 2% | 5% |

Proportion of tourism day visits within the county

- Yorkshire & The Humber: 96%
- Calderdale: 4%

Proportion of tourism day visits spend within the county

- Yorkshire & The Humber: 96%
- Calderdale: 4% The Volume and Value of Tourism, 2017

Value of tourism

Sector breakdown of trip expenditure

| Sector | Domestic | Overseas | Day | Total | |-----------------|----------|----------|-----|-------| | Accommodation | £14,171,000 | £7,680,000 | £0 | £21,851,000 | | Retail | £5,355,000 | £6,899,000 | £85,297,000 | £97,551,000 | | Catering | £10,218,000 | £5,512,000 | £74,030,000 | £89,760,000 | | Attractions | £3,475,000 | £2,524,000 | £19,595,000 | £25,594,000 | | Travel | £10,406,000 | £2,444,000 | £18,837,000 | £31,687,000 | | Total 2017 | £43,625,000 | £25,059,000 | £197,759,000 | £266,443,000 | | Distribution | 16% | 10% | 74% | 10% | | Total 2016 | £44,170,000 | £20,869,000 | £187,698,000 | £252,737,000 | | % change | -1% | 20% | 5% | 5% |

Breakdown of trip expenditure

| Sector | 2016 | 2017 | |-----------------|------|------| | Accommodation | £22,165,000 | £23,646,000 | | Retail | £12,131,000 | £12,481,000 | | Catering | £15,278,000 | £15,512,000 | | Attractions | £6,278,000 | £6,524,000 | | Transport | £7,710,000 | £8,044,000 | | TOTAL (1) | £63,542,000 | £66,067,000 | | Other non trip related expenditure (2) | £13,327,000 | £13,327,000 | | Total direct 2017 | £76,869,000 | £79,394,000 | | Total direct 2016 | £76,869,000 | £79,394,000 | | % change | 5% | 5% |

Businesses in receipt of visitor spend on trip

| Sector | Staying tourists | Day visitors | Total | |-----------------|------------------|--------------|-------| | Accommodation | £22,165,000 | £1,481,000 | £23,646,000 | | Retail | £12,131,000 | £84,444,000 | £96,575,000 | | Catering | £15,278,000 | £71,809,000 | £87,087,000 | | Attractions | £6,278,000 | £21,188,000 | £27,466,000 | | Transport | £7,710,000 | £11,302,000 | £19,012,000 | | TOTAL (1) | £63,542,000 | £190,224,000 | £253,766,000 | | Other non trip related expenditure (2) | £13,327,000 | £13,327,000 | | Total direct 2017 | £76,869,000 | £190,224,000 | £267,093,000 | | Total direct 2016 | £76,869,000 | £190,224,000 | £267,093,000 | | % change | 5% | 5% | 5% |

Proportion of visitor spend by business

Income for local business generated by trip expenditure

| Sector | Direct | Supplier & income induced | Total 2017 | Total 2016 | % change | |-----------------|--------|---------------------------|------------|------------|----------| | Accommodation | £267,093,000 | £77,008,000 | £344,101,000 | £328,054,000 | 5% | | Retail | £12,131,000 | £84,444,000 | £96,575,000 | £97,551,000 | 36% | | Catering | £15,278,000 | £71,809,000 | £87,087,000 | £89,760,000 | 34% | | Attractions | £6,278,000 | £21,188,000 | £27,466,000 | £25,594,000 | 10% | | Transport | £7,710,000 | £11,302,000 | £19,012,000 | £31,687,000 | 12% | | TOTAL (1) | £63,542,000 | £190,224,000 | £253,766,000 | £266,443,000 | 12% | | Other non trip related expenditure (2) | £13,327,000 | £13,327,000 | | Total direct 2017 | £76,869,000 | £190,224,000 | £267,093,000 | | Total direct 2016 | £76,869,000 | £190,224,000 | £267,093,000 | | % change | 5% | 5% | 5% | 5% | 5% |

(1) Adjustments have been made to visitor expenditure by sector to recognise that some spending on retail and food and drink will fall within attractions or accommodation establishments. A small proportion of day trip spend will also fall into ‘Accommodation’ where day visitors have eaten in restaurants/bars of hotels. Furthermore, it is assumed that 40% of travel expenditure occurs outside the destination

(2) Apart from the spending associated with the individual trips, additional spending by non-visitors, e.g. friends and relatives with whom the visitor is staying will also take place. Moreover, owners of second homes/boats will spend some money on maintenance, repair. Data is only available for additional expenditure made related to overnight trips. Employment

Local employment supported by the visitor economy - Full time equivalent jobs (FTE)

| | Staying Visitor | Day Visitor | Total | |----------------------|-----------------|-------------|-------| | Direct | 1,148 | 2,559 | 3,707 | | Indirect | 337 | 392 | 729 | | Induced | 186 | 369 | 554 | | **Total FTE 2017** | **1,670** | **3,320** | **4,990** | | Comparison 2016 | 1,588 | 3,045 | 4,633 | | % change | 5% | 9% | 8% |

Proportion of FTE jobs

- Direct: 69%
- Indirect: 20%
- Induced: 11%

Number of FTE jobs 2016 v 2017

| | Staying | Day | Total | |----------------------|---------|-----|-------| | 2016 | 1,588 | 3,045 | 4,633 | | 2017 | 1,670 | 3,320 | 4,990 | | % change | 5% | 9% | 8% |

Local employment supported by the visitor economy - Estimated actual jobs

| | Staying Visitor | Day Visitor | Total | |----------------------|-----------------|-------------|-------| | Direct | 1,620 | 3,800 | 5,421 | | Indirect | 384 | 447 | 831 | | Induced | 212 | 421 | 632 | | **Total estimated actual jobs 2017** | **2,216** | **4,668** | **6,884** | | Comparison 2016 | 2,093 | 4,278 | 6,371 | | % change | 6% | 9% | 8% |

Proportion of estimated actual jobs

- Direct: 73%
- Indirect: 17%
- Induced: 10%

Number of estimated actual jobs 2016 v 2017

| | Staying | Day | Total | |----------------------|---------|-----|-------| | 2016 | 2,093 | 4,278 | 6,371 | | 2017 | 2,216 | 4,668 | 6,884 | | % change | 6% | 9% | 8% |

Proportion of total jobs supported across all sectors

| | Staying Visitor | Day Visitor | Total | |----------------------|-----------------|-------------|-------| | Total employed (3) | 96,000 | 96,000 | 96,000 | | Tourism employment | 2,216 | 4,668 | 6,884 | | **Tourism proportion 2017** | **2.3%** | **4.9%** | **7.2%** | | Comparison 2016 | 2.0% | 4.2% | 6.2% | | % change | 0.3% | 0.7% | 1.0% |

Tourism jobs as a Percentage of Total Employment

- Total employment: 93%
- Tourism jobs: 7%

______________________________________________________________________

(3) Total labour force is based on all employees incl. part-time (excludes government-supported trainees and HM Force and self-employment). The information comes from the Business Register and Employment Survey (BRES) an employer survey conducted by ONS in December of each year. Key results for 2017

- **6.7 million trips** were undertaken
- **6.4 million** day trips *increase of 1% from 2016*
- **0.3 million** overnight visits *same as 2016 (plus/minus domestic vs inbound)*
- **1.0 million nights** in the area as a result of overnight trips *same as 2016*
- **£266.4 million** spent by tourists during their visit to the area *increase of 5% from 2016*
- **£22.2 million** spent on average in the local economy every month *new figure but calculating 2016 would have been 21.08 per month*
- **£68.7 million** generated by overnight visits *increase by 6% from 2016*
- **£197.8 million** generated from day trips *increase by 5% from 2016*
- **£344.1 million** spent in the local area as a result of tourism (taking into account multiplier effects) *increase of 5% from 2016*
- **6,884 jobs** supported, both for local residents and from those living nearby – suggest using this figure because it is the two figures below amalgamated.
- **5,421 tourism jobs** directly supported
- **1,463 non-tourism related jobs** supported (linked to multiplier spend from tourism)
- **7.2% of population** employed as a result of tourism in Calderdale *an increase of 8% from 2016* Methodology

The Cambridge Model is essentially a computer-based spreadsheet model that produces estimates from existing national and local information (e.g. accommodation stocks, inbound trips) of the level of tourism activity within a given local area. The volume of visits is translated into economic terms by estimating the amount of spending by visitors based on their average spend per trip. In turn, the impact of that spending can be translated to estimate the effects in terms of business turnover and jobs.

Estimates are based on a 3 year rolling average, thus smoothing out irregular fluctuations and avoiding any distortion arising from regional variations, giving us a more long term picture of the value of tourism and we would caution against year-on-year comparisons. As the Model utilises a standard methodology capable of application throughout the UK, it offers the potential for direct comparisons with similar destinations throughout the country.

The standard measures generated in this Model are: the total amount spent by visitors, the amount of income for local residents and businesses created by this spending, and the number of jobs supported by visitor spending.

The basic process of estimation used can be divided into three parts:

- visitor trips and visitor spending at a regional/county level derived from national survey sources
- local supply data on accommodation, attractions and other factors specific to the area
- the use of multipliers derived from business surveys in England to estimate full time equivalent and actual jobs generated by visitor spending in the area

In its standard form, the Cambridge Model uses a range of local data including details of accommodation stock, local occupancy rates, population, employment, local wage rates and visits to attractions. It applies this locally sourced information to regional estimates of tourism volume and expenditure derived from the following national surveys:

- Great Britain Tourism Survey (GBTS) – information on tourism activity by GB residents;
- International Passenger Survey (IPS) – information on overseas visitors to the United Kingdom;
- Great Britain Day Visits Survey (GBDVS) - measures the volume and value of tourism day visits in Britain
- Visits to Attractions Survey – annual recording of visitor numbers to free and paid attractions in England
- Annual Survey of Hours and Earnings (ASHE) – contains UK data on employees earnings;
- Census of Employment – updated annually by the Office for National Statistics
- Census of Population – updated annually by the Office for National Statistics

The sophistication of the economic impact estimates will depend on the availability of detailed reliable local information to supplement national and regional data sources. Where such data is available from local surveys, then local variations can be explicitly included. Glossary of terms

Staying trips Staying trips comprise a visit which involves a stay away from home of at least one night. The study measures trips, rather than visitors as one visitor may make multiple trips to an area in a given period.

Tourism day trips A day trip is classified as a "tourism day visit" if it involves participation in one of fifteen leisure activities (full details of the definition used are included in the annual survey report); that lasted at least three hours (including travel); it's not an activity which is undertaken "very regularly"; and is to a destination outside the respondent's place of residence (or place of work if this was the start point of the trip). The exceptions to this are trips to special public events, live sporting events and visitor attractions.

VFR trips VFR trips are defined as a visit where the main purpose is visiting friends and relatives. Whilst many trips to visit friends and relatives will be accommodated in the homes of these friends/relatives (SFR), some will make use of other forms of accommodation. It should be also noted that other forms of trip, for instance for holiday or business purposes may stay with friends and relatives rather than in commercial accommodation.

‘Other’ expenditure Apart from the spending associated with the individual trips, additional spending by non-visitors, e.g. friends and relatives with whom the visitor is visiting and/or staying with will also take place. Moreover, owners of second homes/boats will spend some money on maintenance, repair.

Economic multiplier Multipliers are used to estimate the economic impact of visitor expenditure. Visitor expenditure produces three effects. Direct effects are changes in the business sector directly receiving visitor expenditure. For instance, visitors staying in a hotel will directly increase revenue and the number of jobs in the hotel sector. Indirect effects are the changes in supplier businesses. For example, these indirect effects would be hotels purchasing more linen from local suppliers as a result of increased business. Induced effects are changes in local economic activity resulting from household spending. For instance, employees of the hotel and linen supplier spend their wages in the local area, resulting in more sales, income and jobs in the area.

Full time equivalent jobs (FTE) For the purposes of the Model, a FTE is defined by the average annual salary plus employment costs in the sector concerned.

Direct jobs Jobs directly generated in those local businesses in which visitors spend money, i.e. hotels, catering establishments.

Indirect jobs Jobs created locally due to the purchases of goods and services by businesses benefiting from visitor expenditure, i.e. jobs with local suppliers.

Induced jobs Jobs created throughout the local economy because employees employed due to visitor expenditure spend their wages locally on goods and services such as food, clothing and housing. Actual jobs Many jobs are seasonal or part-time in their nature in the tourism sector, so an adjustment is made to calculate the actual number of jobs from the number of FTEs. The adjustment made is based on the findings of surveys of tourism related businesses, and national employment surveys.

Great Britain Tourism Survey (GBTS) The Great Britain Tourism Survey is undertaken by Kantar TNS. The key characteristics of the survey include a 100,000 face-to-face interviews per annum, conducted in-home, and a weekly sample size of around 2,000 adults aged 16 years or over - representative of the GB population in relation to various demographic characteristics including gender, age group, socio-economic group, and geographical location. Respondents are asked about any overnight trips taken in the last four weeks. It provides basic headline data on the volume and value of domestic tourism at a national, regional and county level.

International Passenger Survey (IPS) The International Passenger Survey is conducted by Office for National Statistics and is based on face-to-face interviews with a sample of passengers travelling via the principal airports, sea routes and the Channel Tunnel, together with visitors crossing the land border into Northern Ireland. Around 210,000 interviews are undertaken each year. IPS provides headline figures, based on the county or unitary authority, for the volume and value of overseas trips to the UK.

Great Britain Day Visits Survey (GBDVS) The methodology for the 2016 Great Britain Day Visits Survey altered compared with previous years. The changes implemented were - questionnaire improvements to make the survey more engaging and easy to complete; questionnaire revisions required as part of the ‘merging’ of GBDVS with the GBTS online piloting; and the weekly sample size contacted for the wider GBDVS/GBTS combined surveying increased from 673 to 1,000. Parallel testing of the survey approaches used before and after these changes found that these changes resulted in increased levels of visits reported by respondents by around +15%. The aims of the survey continue to be to measure the volume, value and profile of Tourism Day Visits taken by GB residents to destinations in England, Scotland, Wales and Northern Ireland. Surveying is undertaken on a weekly basis, using an online methodology, with a sample over 32,000 interviews.

United Kingdom Occupancy Survey (UKOS) As part of the EU Directive on Tourism Statistics adopted in 1995, the UK must report regularly on a specified range of statistics to Eurostat, the official statistical office of the European Union. Included in these statistics are monthly occupancy rates for UK serviced accommodation. The responsibility for providing this data lies with the four National Tourist Boards, and across England the survey is now undertaken STR on behalf of Visit England. The data is collected using a syndicated panel of more than 3,000 hotels and accommodation providers who are asked to complete a data form each month, giving details of their nightly occupancy. The data submitted is analysed to produce monthly occupancy rates for the whole of the area and for specific categories of type, size, location etc.

Annual Survey of Hours and Earnings (ASHE) The Annual Survey of Hours and Earnings (ASHE) provides information about the levels, distribution and make-up of earnings and hours worked for employees in all industries and occupations. ASHE is based on a one per cent sample of employee jobs taken from HM Revenue & Customs (HMRC) PAYE records. The ASHE tables contain UK data on earnings for employees by sex and full-time/part-time workers. The earnings information presented relates to gross pay before tax, National Insurance or other deductions.